Home / Forex Trading / Spot Forex Trading – Effective Use of Price Alarms

Spot Forex Trading – Effective Use of Price Alarms

The spot forex is a support and resistance market. Whatever forex tools and forex indicators you are using to trade the spot forex indicators, the experience can be greatly enhanced by understanding near term forex support and resistance along with longer term forex support and resistance numbers for the currency pairs of interest.

Every spot forex trader and the major forex trading institutions are watching critical areas of support and resistance on the various currency pairs. If any major currency pair breaks through a critical support or resistance number it makes news everywhere on the forex news and on national and global news shows.

Support and resistance numbers on the forex are somewhat repetitive, the major support and resistance numbers on the forex tend to repeat themselves over time as the currency pairs range or trend up and down.

Monitoring the critical areas of short term or long term support and resistance on the spot forex is easy using price alarms. You can use desktop alarms, alarms to wireless devices, or email alerts when prices are breached. Make sure your forex broker gives you the ability to set price alarms and alerts. They should also provide free forex price alarms or alerts on their forex trading platforms.

Forex price alarms can be used for the various needs of a forex trader.

If a currency pair is currently trending price alarms can be used to notify a forex trader when the trend is resuming so you can intercept the price movement. Another use of forex price alarms is to set price alarms at specific support or resistance prices where the indicators can be reevaluated for profit taking. This assists with forex money management and on exiting forex trades.

Another use of forex price alarms is for setting price alarms where double tops and double bottoms can occur, the double tops and double bottoms occur frequently on the spot forex and can represent entry points into complete currency pair reversals after large sell-offs or up cycles.

Price alarms can also be set to alert a trader when a currency pair going in your favor so you can reset your stops up or down to improve your forex money management or entry management. Price alarms can also be set at the same price (execution price) of your partial limit orders or entry orders to notify the forex trader that an order was executed.

Also if a currency pair is not trending but trading in a narrow range a forex straddle alarm can be used to assist in to determining a breakout of the current price range.

In conclusion the spot forex market knows where these critical short term and long term support and resistance numbers are, the other forex traders know where these numbers are, and the institutions also know, this means you should know too, don’t waste time staring at the forex all night. Monitor the market with forex price alarms and go on about your business, get a lot more sleep and still be in the know as to when your favorite currency pairs are moving.

About admin

Check Also

A Few Forex Tips To Help You Achieve Success

A Few Forex Tips To Help You Achieve Success You can earn a lot of money through Forex and it in fact only requires that you learn from some tips that will show you how to maximize your profits from dealing in foreign currencies. The simplest Forex tip is to use weekly charts to boost your profitability. This means that you have to take the trouble of checking the weekly charts so as to be able to gain a proper perspective of the currency market.

8 comments

  1. That’s initially my time i check out the following. I identified so several different fascinating stuff in your webpage especially its discussion. From the a great deal of comments with your articles or blog posts, I assume I am not saying alone having all of the enjoyment these! always keep in the nice efforts.

  2. I have realized that over the course of creating a relationship with real estate managers, you’ll be able to come to understand that, in each and every real estate contract, a commission amount is paid. All things considered, FSBO sellers don’t “save” the commission rate. Rather, they struggle to win the commission by way of doing an agent’s job. In doing this, they spend their money and time to conduct, as best they’re able to, the assignments of an representative. Those tasks include uncovering the home by way of marketing, introducing the home to all buyers, constructing a sense of buyer desperation in order to prompt an offer, preparing home inspections, managing qualification checks with the bank, supervising maintenance tasks, and assisting the closing of the deal.

  3. Howdy. I was contemplating adding a link back to your website since both of our sites are primarily based around the same subject. Would you prefer I link to you using your site address: http://pediaworld.com/spot-forex-trading-effective-use-of-price-alarms or website title: Spot Forex Trading – Effective Use of Price Alarms | PediaWorld. Please make sure to let me know at your earliest convenience. Many thanks

Leave a Reply


SEO Powered By SEOPressor